Why, he gives you the false impression that it's a crime to be homeless. The ruling only applies to the 9th circuit meaning that this does not affect 80% of the country. The ruling reverses a 2018 decision, which states cities can't move homeless unless there is an open bed. This ruling had such bad negative outcomes that the people who campaigned to get this ruling in the first place were a part of the legal team that got it reversed in the Supreme Court.
@@woodchuck003But why did the ruling even get passed in the first place? That means the situation is bad and the supreme court court has too much power.
@@edgytypebeat781 I don't know why the 9th circuit originally made the rolling they did because will people within their jurisdiction like it at first it's not causing massive problems in terms of city safety. I think you should look up the article homeless crisis ruling creates bitter divided among West Coast appeals court judges, it's on Oregonlive website and they are traditionally a left-leaning outlet. The 9th circuit appeals court actually agreed with the Supreme Court upon review. There was actually a judge as a part of the initial, I believe 2009 ruling, he actually has a quote in the article saying that the 9th circuit's original decision was incorrect when you look at the negative outcomes. Good intentions don't equal good outcomes. If your definition of being a good progressive is to continue doing things even when you have statistical evidence in economic data suggesting that you made the wrong decision then you are living a flawed ideology more akin to a religion. If you think the Supreme Court has too much power then I guess that means you've never read the Constitution, I wonder what other parts of the Constitution you disagree with. The funny thing is the Supreme Court actually has no ability to enforce its rulings most people just agreed to go along with it. Historically presidents have actually caused a crisis with our government when they would choose to refuse to follow the Supreme Court. When activists progressive judges are telling you that you're incorrect then I think you really need to recognize how delusional your politics may be.
@edgytypebeat781 I am not sure what you are talking about it sounds like you are not aware of how our Consitution works and historically going against it has been considered "very dangerous for our democracy". You should look for the article Homeless crisis ruling creates a bitter divide among West Coast appeals court judges from Oreganlive as since the 9th Circuit original ruling we have collected a lot of statistical and economic data to prove the negatives of the initial ruling. The negatives are so significant that the majority of the 9th Circuit judges agreed with the Supreme Court and did not rehear the case. one jusge wrote, "[we need to] reconsider our unfortunate constitutional mistake," O’Scannlain. The judges "argued that the original opinion has paralyzed cities from addressing the significant problem of homelessness and removed their authority to craft public policy." Remember the judges on the 9th circuit tend to be activist judges so if you are so partisan that you think they are wrong you may need to analyze your politics. Also, remember you are on the RU-vid channel of a financial guy who thinks giving his budget plan a fancy name somehow means it is not a budget.
I think it’s more of a tool to help you realize where your money is going and then taking action to automate and distribute your money to what really matters (saving, investing, guilt free, fixed costs). When other people talk about budget, it seems to be a static tool that you plug your numbers in and don’t know what to do with them…unless trying to cut expenses??? Ramit CSP has simply more context around it (with his books and YT channel). The end goal is that once you know your revenues and expenses, you intentionally allocate the money to the 4 buckets automatically and don’t think about your budget on a weekly basis 😊
@@lowlowseesee It's just a very high level budget with 4 major groupings. You could take just about any budget and merge categories until you got to the CSP level of simplification.
A conscious spending plan is a budget. Not calling it a budget is fine, but it’s a budget. We didn’t get control of our debt and finances until we sat down and made a budget. It was the single best thing we ever did because we could see exactly what we made, what our bills were, and how much we actually had to spend/ save and invest.
Yes, and a CSP would make you see it's a problem if you spend 70% on fixed costs and invest 2%. Some people lack the excel skills to make the equivalent, or just want to download something that has all those percentages and calculations done for them.
It's very shallow, really. Comparing companies with individuals is apples and oranges. And while he criticizes the companies that get tax rebates and incentives (which is significantly less immoral than he likes to pretend) he will also recommend investing in the exact same companies. Nike, Amazon, etc are in almost all the "low-cost, broadly diversified index funds" he recommends.
Is giving you the false impression that the Supreme Court criminalized being homeless, that is a lie. He's also pushing the idea that we somehow overtaxed the poor. You can totally make the argument that corporate subsidies are wrong. Without trying to push the false narrative that the poor are overtaxed. On average the bottom 50% of income earners pay an effective federal tax rate of 0%.
I like your message and philosophies but I completely disagree about not needing a budget. That’s how most people end up in credit card debt or with overdraft fees. If you don’t like the term budget call it a Spending Plan. You need to tell your money what to do.
My take is you need a budget at least at first to understand how your money is actually being spent, so you can work out whether that fits in with how you actually want it spent. You can potentially move past the budget to a cash flow method once you're able to.
@@tomaszp2027 Haha yes! I like most of messaging but every time he goes you don't need a budget it's funny that it's always followed up with a rebranded budget. I get what he's really saying is that you don't need a granular budget down to every cent but keep it simple and that a general budget keeps it easy but that's less click bait then say no to budgets!
Yeah, the CSP is a four-category budget with percentage points for each category as well as automatic transfers after receiving the paycheck. I tried to explain to another person that the CSP is not a budget, but they wouldn't get it. Finally, I understood that CSP is Ramit's marketing term -- a good one for sure. It is budget. What make Ramit's budget so helpful are the percentages that standardize every category's relative size. So far, I've been tracking fixed costs + guilt free spending, investments and savings. Recently, I thought I should probably get another card to pay all my guilt-free spending with to make it easy to separate the fixed-cost category from the guilt-free spending category. Anyway, the four category system is extremely helpful especially the 50-60% mark for fixed costs.
@@laundrygoddess4 i watch this guys stuff a lot and ive seen him show much respect to others views so thats just not true. reality is he is smart enough to know that a rich life has much more going on than a screen. spreadsheets make you fearful folks feel safe and you all are so caught up in them that you think thats a rich life. its not lol. I have a spreadsheet I use too but im smart enough to know that it makes me feel in control and safe, its not enriching, its to control my anxiety. never have i ever seen a spreadsheet make good memories for a family or be spoken about like a great experience or building an actual skill. seen every episode on this channel and not a single person using spreadsheets could even show that they were barely useful let alone enriching
The person who wrote the comment is joking, Ramit is not here to coddle his viewers. He is here to educate people, this is too important. Building good money habits is better than wasting limited time on spreadsheets.
Ramit, you were very clear in your book that using credit cards for points can be helpful, if you’re paying it off every month. Somehow people have forgotten that second part and think you’ll be proud of them for scoring points while going into debt 😂
Frugality lets you maintain a balance where only your priorities come first , leading you to a secure financial future. I am avoiding debt , saving and investing around 40 percent of my income. I have a high paying engineering job, and I live upstate MN. since covid 19 my expenses are extremely low. I have zero debt on a 7 figure portfolio, low rent and car paid off. So i can just save. feel lucky and grateful my fiduciary came into play.
I allocated 20% for guilt free spending and I couldn't sleep at night, meaning it isn't guilt free spending. I bumped that down to 10% and I feel alot better about that. I would find a number you feel good about and then increase that percentage as you feel more comfortable. Don't be guilty into spending money you don't want to spend. A rich life is different for different people. It could be that donating your money is a big factor of living a rich life.
i dont have a budget, but just make sure 20% is invested. The rest i spend as needed and if there's anything left over it goes into a high yeild savings acc
My husband often talks about how Amazon benefits incredibly from infrastructure (roads to drive delivery trucks) but yet corporate taxes and the wealthiest like Bezo pay nothing or next to it in taxes. Thanks for reminding us all Ramit that this matters to personal finance as much as some of the other tips.
I'm a young academic and have learned so much from your content. There's these myths amongst humanities academics that people who teach about/work in finances are hyper-individualistic, neoliberal and have the wrong intentions overall. I love to hear you reference structural injustice and systems of racism/sexism/classism such as at the end of this talk because it undermines those myths. Also love introducing other young humanities people to your work!
23 дня назад
I think what you're calling a budget is what I'd call accounting. What I'm calling a budget is more like what you call a spending plan. Fixed costs, savings and investments. And these costs go through their own budget account, so the money I need for fixed costs never appear in my checking account for me to spend. All items have a buffer amount for electricity, heating etc. and whatever spills over goes on top of my existing investment. I set this up 6 years ago, and the peace of mind it gives is immense.
Having a budget is the equivalent of educating yourself on your financial life. Why would that now be extremely beneficial and necessary to building wealth. You can't fully manage your money if you cannot track it
I think the key difference is about how you approach it. Ramit preaches automating your finances - your mortgage, your investments, all that happens automatically. Most of what’s left, is guilt free spending. I’ve never heard it framed quite like that. Personally I really appreciate the nuanced differences between a CSP and a traditional budget
I like his CSP. I agree it is another way of budgeting, but I think it's closer to how most people think of managing their money or should learn to think of their money to maintain a healthy relationship with it. Income = how much is coming in. Fixed costs = what am I consciously/needing to using my money for? (Which he consistently relates to cost of living, though it's not exact.) Savings = how much am I putting away for more immediate, large cost purchases/uses (travel, emergency, home/car purchase, etc.)? Investments = how much am I putting away for the future/retirement? Guilt free spending = other stuff that I can do whatever with. It promotes intentional savings and investing and tracking necessary costs, but allows for freedom with the rest. Traditional budgeting either starts with allocating certain amounts of income to certain categories and then trying to stick with it, which is hard to do since it hard to predict actual costs; or is done retroactively starting with time-consuming itemization and then categorization which can be pretty arbitrary. With the latter method, you can end up with numbers don't mean anything. Ex: this month I'm eating in more while last month I ordered delivery alot due to having a newborn and not having time to cook. My dining out costs were high last month, and significantly lower this month. The take away? Nothing. I just ate out more last month. I think the intent is to no longer have to fill out the CSP because you know the answers to the questions and to be intentionally thinking of the future.
Just as a little bit of a defense for budgeting, I am a YNAB Budget Nerd. The biggest thing I get is actually some automation with credit card spending a peace of mind with the fact that this year I can spend a good chunk of change on a new Phone after 4 years of having the same phone knowing that I am still living within my means and not impacting any of my actual goals. For someone like me a budget is part of my rich life because it gives peace of mind.
The $5 latte and $15 sandwich bit misses a few important points- 1) you cannot afford these and should not be buying them IF YOU HAVE CREDIT CARD DEBT. That coffee and sandwich set you $20 further away from breaking free of the credit card shackles. If you DON'T have credit card debt and are saving and investing, have at it. 2) Saying these everyday small purchases don't matter is CONTRARY to the whole point of compounding- little amounts over long periods of time REALLY ADD UP.
Yeah, eating lunch out at let us say Wendy's every work day for $15 (inflation!) is $75 a week, ~$300+ a month, or $3,900 over the course of a year. That could be like 10% of someone's annual salary going to Wendy's instead of 2% if they pack sandwiches and fruit. Small expenses can add up a lot, and cutting down them in either frequency or per unit cost can be really helpful for people in certain situations.
@@Glanzernthe whole point is those people's mortgages, car loans, etc are the problem, not too many $5 coffees. Someone with a $70k truck stressing over their wife getting Starbucks is crazy.
This is exactly what Ramit is talking about when he tells people to stop focusing on the $3 questions. Just because someone has credit card debt doesn't mean they should have to give up small basic joys like a cup of coffee made by a restaurant you really like. They add up if you're going out of control with it. Even if you got a $5 latte every day of the year, that only comes out to $1,825. That's less than a lot of people's rent every month nowadays. Don't sweat the small stuff and if you have credit card debt, you deserve the same small joys as everyone else
I feel like depending on the stage of where I am with my finances and my behavior with money will determine if i need a budget. For me a budget was absolutely needed because I was spending too much money on food and I had a lot of debt.
OMG same. I’m on the debt pay off journey and a budget has kept me on track to meet my debt free journey at the end of 2024. Excited to start using a spend plan once I’m debt free though.
Definition: A budget is a plan that shows you how you can spend your money every month I realize it's marketing buzz intended to keep people's "eyes from glazing over", but the CSP is a budget. Different people prefer different levels of budgeting, so whatever works for them, good for them.
@@kingsgold A CSP completely fits into the definition of a budget, which I quoted above. A budget is a snapshot of the division of your income and expenses. It can be very granular, or it can be very broad, but it's still a budget. Part of the CSP is to put aside money for the future...which is planning. Any other kind of budget can (and most likely will) have the same category of 'saving for the future' in one way or the other.
@@latimer442 no. again. you are misunderstanding a CSP. A CSP is a snapshot of the right now. This very second. Put on paper wherre your money is going on a monthly basis. If you arent saving now, your CSP will have 0 towards any savings and investments. It isnt that you arent going to save, it is moreso you arent actively doing it. A CSP isnt a future plan, hence.. not a budget. A CSP is Bird's Eye view of your current finances. A CSP is a simplified way of doing your monthly financials.
@@kingsgold I would suggest re-reading what I posted. What you described as a CSP is the textbook definition of a budget. A budget can also include a savings category for future spending. What you are describing is literally a budget. A CSP is just a bird's eye budget. There's nothing wrong with that.
This may be your best video yet, Ramit. The thought occurred to me that faith is believing that if you speak the truth others will accept it and make the necessary changes to get the result they say they want. So frustrating to try to help a person who says they want a different result but then continue to self-sabotage and even actively resist the educated advice given. Self-deception is an amazingly effective human trait keeping people in the "devil you know" comfort zone. Change is usually uncomfortable in the short term but yields dividends in the long term. I also appreciate the sense of humor you bring to these subjects. Thank you
lmao i found this ironic as well. If you had a budget (which is a spending plan), then you wouldn't need to use an app like Rocket Money to stumble upon forgotten subscriptions.
I'm starting to subscribe to knowing your "guilt-free spending" number, but know that...most people are still going to need to "budget" to make sure they don't spend more than that "guilt free"
I use ynab to budget and I would definitely recommend budgeting. It's not about prohibiting yourself from what you want, it's about prioritizing, planning and being aware.
I finally got an affirmation about budgeting- my wife and I don't budget, we simply track both investments and expenditures. Budgeting is like dieting for the rest of your life... It would be a terrible way to live! Healthy habits create healthy lifestyles, money habits work the same way.
Ha! This is the response I keep getting. A budget sets a maximal number you can spend in that category, tracking simply keeps an eye on what you're spending so you know where your money's going. Budgeting is a rigid financial diet, tracking is a healthy financial lifestyle.
Agreed on the CC points. It’s such a game by the banks to make us think the points are so much more valuable than they really are. Even if you pay off the card in full each month, the points and spending bonuses trick us into spending more than we otherwise would.
I have found that budgeting and a minimalistic or frugal approach is ONE of the actions that builds wealth. It’s not the only thing or the most important thing, but it’s a component.
Just do value based budgeting, its basically like his CSP plan, except its what big organization and research papers call it. Basically list out your expenses, and consider how happy it makes you or what convenience it gives you, rank them accordingly, and it will let you know what to cut or spend more on based on your own priorities. This requires introspection on what you want in life, but if you don't want to "cut" on small luxuries that make you happy, this is the best way. I will say though, if you are buying a $5 latte everyday, and your income is less than $40K a year, you should probably think about cutting back on it.
A budget is what worked me out of 80k in personal debt! But. . . now that my money is under control, setting my auto transfer and having 4 accounts keeping my money organized has pretty much eliminated the need for one. There is a time and place for them, but having a shitty life isn’t a worthy trade off.
completely agree. most people i know and see in comments cant follow a budget if their life depended on it. meanwhile you sound like me where as I can make any system work more so than other people. been debt free for 20 years lol
@@trippingwithjesse9837my husband is in HVAC and im a medical billing supervisor. We are going beast mode to get out of debt. We have a good emergency fund so all those 4k, 5k, 10k per job is going towards our debt. If everything goes well we should be debt free in 1 to 2 years. 🙏🙏 wish us luck!
He is saying to stop BudgetING…meaning CONSTANTLY checking the money and how it’s being spent. Not an initial allocation! That’s what he is communicating. Like he said when you know where it’s going you won’t have to keep going back (which is the action part) to see if paying $4 for peppers this week is too much. Skipping over dollars to get to pennies!
I appreciate Ramit. His financial advice is more doable for me. Everywhere I look and read is to budget. That is just something I can never force myself to do no matter how hard I try. I do automate my savings, retirement and investments and stay out of debt. I still eat out sometimes, take vacations and splurge on few items I've saved for. Feels good to see my networth growing. Just have to have discipline and strap yourself with knowledge.
While cutting out $5 coffee and $15 sandwiches won't make you rich, not spending $25 per day, 365 days a year, will take you $9125 further away from poverty, and that's a bloody good start.
Exactly. Once you get that mindset, all of a sudden you'll find ways to cut out unnecessary things wrong purchase or spend, and saving/investing more adequately.
10:49 agree that people need to run the numbers. but lifetime renting vs buying a house also means you dont pay rent or mortgage after the loan is paid off only property taxes. when making that comparison understanding that your landlord is leveraging their equity in the property to command rent from you as the tenant, the same way a bank uses their capital and charge you interest. the question is who gives you better terms.
Love this guys content. Although I’m very big on a detailed budget. For example if you have a detailed budget down to the dollar you would not need rocket money for unwanted subscriptions because you’re keeping track of everything. I’ll admit I have been budgeting for 5 years and have never once spent the exact money I said I would spend in the budget. Things always come up that you need last minute, but I am usually within $500 to $2k of the planned budget.
Loved your take on criminalizing the poor. I really wish the everyday person wasn’t so mesmerized by rich people that they could see and understand how backwards that is. Most people are a lot closer to living on the streets than living in the penthouse…
I agree there’s no need to keep a budget. Natural spenders can pay themselves first to ensure a high savings rate, and spend the rest however they want. Natural savers can spend the amount needed to have a satisfying life, and save the rest, which will be a lot because they enjoy saving.
Don’t agree with budgeting part. From personal experience I’ve seen if you force people to budget you would get rid of more than half of people’s money problems.
@@ramitsethiI have to wonder if people get hung up on the CSP vs. budget terminology because they aren’t in a position to fully automate their spending. If people are struggling, they may still need to “budget” alongside the CSP by tracking the price of produce. I suspect that isn’t your target demographic, but I’d love to see you come up with a hybrid plan for people who are struggling, regardless of whether their struggles are due to high interest debt or the insane housing cost increases since 2020.
@@username00009 The ppl hung up on the CSP vs Budgeting terminology (me) are actually the ppl doing very well and not struggling. We are the ones that budgeting has done wonders for. So CSP can be great, but that doesnt mean budgeting is bad.
Thank you for touching on corporations skimping on taxes and the criminalization of the poor. Not alot of financial RU-vidrs get to the root of the problem. Corporations and the ultra wealthy feed off of us working class folk which undermine OUR social safety nets. We need solidarity and to hold tax dodgers accountable.
I would like to see those car/ home calculations in details ( maybe a podcast episode where you help a couple to decide if they are ready to buy). Thanks
I've done very well and I have given many people advice on what they can do better or differently, when they ask. I agree with Ramit's basic sentiments (I have a nuanced view on his last topic, sorry). With respect to one's own efforts, I'll point out two big picture things that might be helpful: 1. You must think big picture and you must avoid getting stuck on your current constraints instead of what is possible if you make changes. You have to understand and be open to see the different outcomes that could occur if you make changes. I'm not saying changes will be easy; but most people I have known could not even envision what a different path could look like with different outcomes, never mind actually making the changes. What's the point in getting motivated to make the changes (which could be hard to make) if you cannot describe the outcomes you are looking for and why? 2. You MUST know your numbers. If you don't know your numbers you are dead in the water. How much you make, how taxes actually work, how much you spend and what is the trend, how much you need to spend, how much is discretionary spending, how does compounding work in concept, how to manage risk and what to do about it, and more. I spent a career talking to people who didn't know their numbers. They were never as successful as they could have been and they didn't know why.
Ehhh, a budget works for many people and is the reason my family has made be strides financially this past year. It doesn't stress us out, we look at "groceries" not "peppers".
points are worth 3-5 pts if you plan right. if you have a spending problem forget it, but if not you can save 3-5k yearly just usinng points for a family and take that cash and pay down debt. take it a step further and use them to pay for someones first class tickets and 600 worth of points (at 1 cent a piece) can now have earned you half of that 4k plan ticket to france for someone
Your last point, about how we penalize the impoverished and reward the ultra rich? It makes my blood boil. I couldn’t agree with you more. Best statement in your entire video. Keep it up, my friend.
4:20 what should people do instead of paying the 1-2% fee for the Advisors time? Take the advice and go buy shares themselves? Most people don't know how to work a brokerage account and even if you buy Mutual Funds and ETFs, these still have fees built into the price.
I understand the point here is not against budgeting, but against tracking every single spending. When you track your must-have (Fixed Costs) and ensure Investments and Savings are getting their proper piece, what remains (Guilty Free) shouldn't be of your great attention - as long as you don't exceed it and don't get money from the other three to increase guilty free.
I created a simple google sheet and i copy paste every charge, and then spend maybe 30 minutes a month categorizing each expense. It's one of those funny habits that keeps me mindful of my spending. I do my own oil change and it keeps me mindful of the environmental impacts of my vehicle. Just seeing the dark cruddy oil, then taking it to O'Reilly's and dumping it into a tank. Like having a garden, to remember where food comes from, or hunting if you're a meat eater
I wonder exactly what is the value of debating terminology? Whether we utilize a "CSP" or a budget , isn't the point to understand our personal finances and create a deliberate plan for our money? It seems to me that if we grasp the basics of Ramit's information and take action on it then we improve our lives today and our future . Isn't that why we're watching his videos? $30,000 Q: Get our financial lives in order vs $3 Q debate terminology
Correct me if I'm wrong, but mathematically there is nothing wrong with continuing to use a credit card when you are in credit card debt. And the points you will get are better than not getting them. All that matters is that you don't spend any more eon the card than you would have spent without the card, and that you pay off your new expenses every month on top of whatever long term payment plan you are on. If you do this, you don't end up paying any more than if you threw away your credit card, plus you get cc rewards. Of course, a person who got into cc debt in the first place is probably not a responsible spender and may not have self control when spending on a cc. But that's a different issue.
What the hell you mean!? The same month I started budgeting, I had more money in my bank, in my wallet and my bills were all paid off and I still had money left for the month to put into investment and buy me nice things! Budget is not nitpicking every expense, it's planning your month income vs your expenses and what to do with it. It fucking works! Edit: oh... I see... I mean that's a budget, though. But glad we're on the same page.
Picking individual stocks is real investing and if you pick the right one at the right time, you can beat the index. Of course, it takes time and research to find the right ones so it depends on your goal.
I guess the no buget thing on the thumbnail was meant for people that hate budgeting but have been told that budgeting has to be done to start working on their personal finances. The longer they wait by not wanting to budget, the more they hurt their own situation. So the message was that bugeting as a first step may not be as important. Just start as soon as possible even if you dont budget.
God I watched a series of videos of a person that had 15+ credit cards, with post it notes on them to indicate which one to use when. I almost got stressed out just watching the videos. Think I will just stick to my two, no annual fee, cards.
For me, the word "budget" doesn't have a negative connotation. Mostly because I don't live on bare bones anything. it depends on HOW you budget... I just like seeing where things go, but that's my enjoyment. Do you automate alongside with the budgeting? Then the word budget doesn't scare you, distract you, nor deter you from enjoying your life. If you're not automating... Then, yeah, budgetting is useless...
Credit card game is FUN. Checking my points and thinking how to optimize application/spending feels great. Of course, I never carried a dime as a balance in my life.
It's recommended to save at least 15% of your income in a 401k. You can use online calculators to estimate how much you should save based on your age and income. Saving at least 15% of your income in a 401(k) can help ensure that you have enough money to retire comfortably. By saving this much, you can take advantage of compound interest and potentially grow your retirement savings over time.
Effective personal finance management is more important than the amount of money saved, regardless of whether income is earned through job or investment. Individuals can seek counsel from a certified financial advisor to optimize financial outcomes, who can provide specialized advice and methods to decrease expenses and maximize income.
I completely agree; I am 60 years old, recently retired, and have approximately over 2million dollars in external retirement funds. I am debt free and have very little money in retirement funds compared to the total value of my portfolio over the past three years. To be honest, the Fin-advisor can only be neglected, not rejected. Just do your due diligence to identify a fiduciary one.
I definitely share your sentiment about these firms. Finding financial advisors like Claire Robert’s Durand who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.
I'm guilty of chasing credit card cash back rewards, but I don't buy things I was not going to buy anyway, have no credit card debt, and pay no annual fees. Eventually I'll get board with it and dial it back to using 2 or 3 cards, but not yet.
I disagree with you saying that spending $5 daily or snacks won't make you rich or poor. I think maybe a better way of seeing this is that if you are at a financial place where a $150 monthly expense doesn't affect you, then you're ok to spend it on your daily coffee. I personally rather use the $150 on my travel budget.
People getting caught up on the CSP- it’s not a budget in the traditional sense. It is looking at the bigger picture rather than trying to manipulate very small amounts of money here or there. It breaks your money up into bigger pots than a budget does. A budget may have 56 line items whereas the CSP is looking at the $30,000 q’s. saying, here’s your guilt free $ doesn’t matter what it goes towards if it’s part of your rich life.
I will be forever grateful to you, you changed my whole life and I will continue to preach on your behalf for the whole world to hear you saved me from huge financial debt with just a small investment, thank you Elizabeth Galano
The first step to successful investing is figuring out your goals and risk tolerance either on your own or with the help of a financial professional but is very advisable you make use of a professional.
Spending money on the rocket subscription to save money. Or you could just create a simple budget along with a spending tracker to see where your money is going. You could have found that savings without paying for rocket money… my budget/spending tracker takes tops two hours a month.
I also use credit cards with points but they are rewards cards with no fees and I use them for everyday purchases and pay them off before interest accrues. Mich easier to do when I budget and know for a fact im using money I specifically set aside for the purchases
@@ramitsethi thank you for responding, I appreciate it. Would love to hear more about asset allocation, stocks vs ETF, does REIT investment make sense for diversification?, do you really need to use your age as a guide for the percentage of bond in your portfolio?, does disability insurance for high earners make sense?, bond selection for tax benefits, is umbrella insurance coverage a good idea for renters? Thank you!!
Thank you for drawing attention to how we treat this country's poor. Some studies state that we actually spend more tax dollars keeping poor people in jail. It would be less taxpayer money to build housing for the homeless. Once they have a safe place to live, it is life-changing. Furthermore, people forget that homelessness affects veterans most of all. I read an article about a housing complex for homeless veterans & one man's story. He turned his life around, it is wrong that our government helps corporations that make billions every second. But they won't help the men & women who sacrificed for our country.
Of all the people who did make a budget, how many more have failed? There's like 100 episodes showing exactly that. I'd rather choose the CSP over a budget. It is simpler and focuses on your life's future (That's why Ramit offers a book and a diary)
@@Shortballa11 I get that both can work, I just haven't seen a budget work. Neither in the podcast nor in my day to day life (including friends and family)
Regarding children's college, it's different here in Canada. The government match 20% of your savings in the RESP up to $2500. You really shouldn't walk away from 20% tax-free money. Of course, it's the oxygen mask rule. Put it on yourself before helping others. If you are in heavy debt, it's not for you.
I also lost about 11k when initially getting into investing. I love your rephrasing that it was a very cheap lesson, I've never thought of it like that. I have been consistent with index investments ever since.
I disagree ever so slightly with the college account idea that you shouldn’t contribute until you’re fully funded. You might never be fully funded. If you put away $100 a month and a kids college fund it won’t change your financial picture significantly, but it can change theirs.
